Woe-PEC: The cartel’s troubles continue, even after a deal is struck

On November 30th, after months of negotiations, OPEC reached a deal to curb their oil production in an attempt to boost the global oil price. Two weeks later, a second deal was struck with non-member countries, most notably Russia.  Despite an initial oil price jump of almost 20%, serious concerns remain that, in the long-term, the deals will not provide the desired price increase for the group of oil-producing nations.  As agile shale oil players in the United States mobilise in response to the higher price and growing optimism in the industry, it is not hard to see why...

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